DAIDO GROUP (00544) issued a profit warning, expecting a net loss attributable to shareholders of no less than 40 million Hong Kong dollars in 2024, a change from profit to loss compared to the previous year.

DAIDO GROUP (00544) announced that it is expected to incur a net loss attributable to company equity holders of not less than HK$40 million for the year ending December 31, 2024, compared to a net profit of approximately HK$5.672 million for the year ending December 31, 2023. The announcement stated that the expected loss is mainly attributed to (i) a decrease in revenue from cold storage and related services by approximately 22%; (ii) a decrease in revenue from food and beverage trade and sales in mainland China by approximately 43%, with the decreases in revenue from (i) and (ii) mainly due to a challenging macroeconomic environment weakening demand for the group's products and services; and (iii) no one-off gains from the sale of a subsidiary in 2023.